Question for the Money Doctors

Question submitted on Aug 15, 2013.

Question

My son is getting a $5000 buyer assist to cover closing cost, prepaids and escrows. The total of these amounts to less than the $5000. He will have to reimburse the seller for 1 1/2 months of insurance and the cost of the oil remaining in the tank. Will I be able to apply these costs against the $5000 buyer assist. Thanks

Answer

Unless the lender has rules that govern how the buyer assistance can be used, I don't see why not. I would suggest that you contact your real estate agent or the lender to get clarification on this matter.